A broker price opinion (BPO) is a value estimate prepared by a licensed real-estate broker or agent — faster and less expensive than a full appraisal. In loan-sale diligence, a BPO is often used to gauge collateral value quickly.
A current valuation is one of the biggest drivers of price and speed in a loan sale, because it removes the uncertainty a buyer would otherwise discount. A recent BPO or appraisal in the file shortens diligence.
No — a BPO is a broker's opinion of value, quicker and cheaper; a full appraisal is a more formal, regulated valuation. Both are used in loan-sale diligence.
Not necessarily — a recent BPO or appraisal helps, but a buyer can underwrite from the rent roll and financials and order its own valuation.
The most recent appraisal or BPO you hold, with its date and amount — see the loan-tape checklist.